In case you weren’t up to speed we have been producing an early morning edition of our linkfest.  Make sure not to miss it.

Quote of the day

Carl Richards, “The odds of you picking the next hot performing stock like Google or Apple are insanely low.”  (Bucks Blog)

Chart of the day

Defensive sectors have been on the defensive.  (Afraid to Trade)

Markets

Corporate insiders are still selling.  (Mark Hulbert)

Keeping an eye on when the market participants throw caution to the wind.  (Derek Hernquist)

The muni bond debate has turned in favor of the defense.  (the research puzzle)

So that is where all that lumber is going.  (WSJ)

Strategy

Uh oh. There is “little to feel bearish about right now..”  (Pragmatic Capitalism)

Dividends matter, seriously.  (Crossing Wall Street)

Do cap-weighted indices lead to investment bubbles?  (FT Alphaville)

“The equity risk premium is just that; compensation for risk. It cannot be guaranteed.”  (Buttonwood)

Eric Falkenstein, “One cannot reject the hypothesis that the rate of return on stocks is no greater than that for bonds.”  (Falkenblog)

An investment-based, behavioral bias-free explanation of momentum profits.  (SSRN)

Companies

Mining giants BHP (BHP) and Rio Tinto (RIO) have a cash problem – too much of it.  (Globe and Mail)

Google (GOOG) is going on a hiring binge.  Should shareholders be concerned?  (MarketBeat)

How AIG (AIG) died.  (Felix Salmon)

Funds

How to spot a doomed ETF.  (InvestmentNews)

“If you’re trading gold based on the incorrect “news” that JP Morgan is refusing to accept the GLD ETF as collateral, then you’re trading on bad information.”  (Kid Dynamite)

Finance

Todd R. Snyder, “In short, most of the dialogue about accelerating defaults and possible bankruptcies is Kabuki theater intended to signal participants all around the various municipal and state negotiating tables that the game is afoot.”  (Dealbook)

Toxic assets will be a drag on bank earnings for some time to come.  (Atlantic Business)

A shakeout in the venture capital industry is already underway.  (Information Arbitrage)

The SEC is running on fumes, budget-wise.  (Dealbook)

Web content/Social media

Felix Salmon, “..the NYT page is like walking into a library, while the HuffPo page is like walking through Times Square.”  (Reuters)

With HuffPo off the board, what content companies are left to be bought?  (NYTimes, peHUB)

The market of late has not been looking too kindly on AOL (AOL) strategy.  (AR Screencast)

A look at the new “social scorekeepers.”  (WSJ)

“Search inefficiency is becoming a crowded trade.” (Phil Pearlman)

Global

Who to blame for higher commodity prices:  China or the Fed?  (Money Game, The Source)

Investors are showing a great deal of faith in Europe’s politicians.  (The Source)

Everyone knew China would raise rates, just not now.  (FT Alphaville also beyondbrics)

Economy

Small businesses are beginning to feel the recovery.  (Calculated Risk, Real Time Economics, Money Game, Bespoke)

Americans are quitting their jobs again.  (WSJ)

Do initial claims overstate layoffs?  (FRBSF)

Another indicator pointing towards higher inflation. (Bespoke)

On the prospects for G.  (EconomPic Data)

What should we make of the return of ‘cash buyers‘ to selected real estate markets?  (Big Picture)

Errata

David Einhorn’s reading list.  (market folly)

Michael Mauboussin on why we have such a difficult time “untangling skill and luck.”  (HBR)

Just in time for Valentine’s Day – the “uncertainty hypothesis.”  (Scientific American)

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